Amerigo Reports Strong Q3-2021 Financial Results Dividend of Cdn$0.02 per share payable on December 20, 2021

VANCOUVER - Amerigo Resources Ltd. (TSX: ARG; ARREF: OTC) ('Amerigo' or the 'Company') is pleased to announce financial results for the quarter ended September 30, 2021 ('Q3-2021').

Dollar amounts in this news release are in U.S. dollars unless indicated otherwise. Amerigo posted net income of $8.4 million, earnings per share ('EPS') of $0.05 (Cdn$0.06), EBITDA1 of $18.5 million and quarterly operating cash flow before changes in non-cash working capital1 of $14.1 million. 'Amerigo had strong operations, with solid financial results and accomplished planned annual maintenance during the shortened quarter. During the quarter, we also announced a substantial issuer bid to provide the mechanism to orderly retire up to Cdn$25 million in the share capital of the Company and Amerigo has reinstated dividends, which will now be paid on a quarterly basis', said Aurora Davidson, Amerigo's President and CEO. 'We anticipate providing 2022 guidance to the market in conjunction with the release of the Q4-2021 production results at early in January 2022.'

The information and data contained in this news release should be read in conjunction with Amerigo's interim consolidated financial statements and Management's Discussion and Analysis ('MD&A) for the three and nine months ended September 30, 2021, available at the Company's website at www.amerigoresources.com and at www.sedar.com.

Highlights and Significant Items

Q3-2021 net income increased to $8.4 million (Q3-2020: $5.4 million) due to higher production and higher metal prices.

Q3-2021 EPS was $0.05 (Cdn$0.06) (Q3-2020: $0.03 (Cdn$0.04)).

The Company generated operating cash flow before changes in non-cash working capital1 of $14.1 million in Q3-2021 (Q3-2020: $10.7 million). Quarterly net operating cash flow was $25.4 million (Q3- 2020: $15.4 million).

Q3-2021 production was 16.0 million pounds of copper (Q3-2020: 14.7 million pounds) including 7.4 million pounds from Cauquenes (Q3-2020: 8.0 million pounds) and 8.6 million pounds from fresh tailings (Q3-2020: 6.7 million pounds).

Molybdenum production in Q3-2021 was 0.3 million pounds (Q3-2020: 0.4 million pounds).

Q3-2021 cash cost1 decreased 10% to $1.62 per pound ('/lb') (Q3-2020: $1.80/lb).

In Q3-2021, the Company's average quarterly copper price was $4.23/lb, 39% higher than the Q3- 2020 average quarterly copper price of $3.04/lb. The Company's average quarterly molybdenum price was $18.19/lb, 147% higher than the Q3-2020 average quarterly price of $7.37/lb.

Revenue during Q3-2021 was $48.1 million (Q3-2020: $37.6 million), including copper tolling revenue of $42.5 million (Q3-2020: $35.5 million) and molybdenum revenue of $5.6 million (Q3-2020: $2.1 million).

Copper tolling revenue is calculated from the Company's gross value of copper produced during Q3- 2021 of $72.0 million (Q3-2020: $44.3 million) and negative fair value adjustments to settlement receivables of $2.9 million (Q3-2020: positive fair value adjustments of $5.9 million), less notional items including royalties to Codelco's El Teniente division of $20.6 million (Q3-2020: $9.8 million), smelting and refining of $5.5 million (Q3-2020: $4.4 million) and transportation of $0.5 million (Q3- 2020: $0.5 million). The Q3-2021 settlement adjustments included $2.4 million in negative settlement adjustments in respect of Q2-2021 production, which are final adjustments.

Amerigo's financial performance is very sensitive to changes in copper prices. The Company's Q3- 2021 provisional copper price was $4.23/lb, and final prices for July, August, and September sales will be the average London Metal Exchange prices for October, November, and December, respectively. A 10% increase or decrease from the $4.23/lb provisional price used on September 30, 2021 would result in a $7.2 million change in revenue in Q4-2021 in respect of Q3-2021 production.

On September 28, 2021, Amerigo commenced a substantial issuer bid to purchase for cancellation from Amerigo shareholders who choose to participate up to Cdn$25 million in value of its common shares. The issuer bid expires on November 12, 2021.

On September 30, 2021, the Company held cash and cash equivalents of $64.9 million (December 31, 2020: $14.1 million), restricted cash of $6.4 million (December 31, 2020: $nil) and had working capital of $21.6 million (December 31, 2020: working capital deficiency of $6.1 million).

Amerigo's Board of Directors (the 'Board') has reached a decision to declare and pay steady dividends on a quarterly basis. Dividends will be declared at the discretion of the Board and will depend on the Company's financial results, other factors of relevance determined by the Board and the maintenance of appropriate levels of working capital.

On November 1, 2021, the Board declared a quarterly dividend of Cdn$0.02 per share, payable on December 20, 2021 to shareholders of record as of November 30, 2021. Amerigo designates the entire amount of this taxable dividend to be an 'eligible dividend' for purposes of the Income Tax Act (Canada), as amended from time to time. Based on the September 30, 2021 share closing price of Cdn$1.26, this would represent an annual dividend yield of 6.35

Energy and Mines Virtual World Congress Amerigo will be participating in the Energy and Mines Virtual World Congress that is taking place on November 9 and 10, 2021. CEO Aurora Davidson will be participating on the Keynote Panel Identifying Pathways to Net-Zero Mining on November 9th at 8:30 a.m. EST

About Amerigo and Minera Valle Central ('MVC')

Amerigo Resources Ltd. is an innovative copper producer with a long-term relationship with Corporacion Nacional del Cobre de Chile ('Codelco'), the world's largest copper producer. Amerigo produces copper concentrate and molybdenum concentrate as a by-product at the MVC operation in Chile by processing fresh and historic tailings from Codelco's El Teniente mine, the world's largest underground copper mine. Tel: [phone]; Fax: [phone]; Web: www.amerigoresources.com; Listing: ARG:TSX. The information and data contained in this news release should be read in conjunction with Amerigo's Condensed Interim Consolidated Financial Statements (unaudited) and MD&A for the three and nine months ended September 30, 2021 and the Audited Consolidated Financial Statements and MD&A for the year ended December 31, 2020, available at the Company's website at www.amerigoresources.com and at www.sedar.com.

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